The financial instability that is inherent in any economy in the world makes people think about where to invest money. This problem, of course, is far from relevant for everyone, but a rather large number of people, including our fellow citizens, are interested in its solution. Russia, whose economy has also experienced instability and decline, with its natural wealth, has become a territory whose population began to think about options for investing its savings on a large scale.
In this article, we will consider this issue from different angles. First, of course, we will try to offer the largest possible comprehensive list of methods To invest money and do not lose them. Secondly, we will try to compare them with each other on the basis of indicators such as profitability, reliability, growth potential, and so on. Thirdly, the main tips will be presented, with the help of which our readers will be able to get the maximum profit and at the same time not to worry about the safety of their savings.
Investor desire
So, for starters, we outline our problem: why is there an urgent need to invest money and why is it so difficult for many people?
We think it’s not worth talking about inflation processes for a long time. We all perfectly understand that no well-being lasts forever. At the time of writing, for example, in addition to Russia, China is suffering a crisis. This is a country that a couple of years ago was the absolute leader in economic growth. As soon as economic growth stopped, the financial mechanisms of the state “creaked”, forcing investors to grab onto portfolios. It is normal that from time to time in the world economy, some negative trends are also observed. Successfully survived by someone who takes care of preserving their resources in advance.
Therefore, this article is written - the topic of investing is always relevant. How does the goal that the investor achieves remain unchanged. On the one hand, he is looking for where to invest the money so that they work and bring maximum income. On the other hand, he understands that the higher the return, the greater the risks await his capital. Consequently, in this matter he needs to seek some kind of compromise, a certain middle ground. Which is what people with large amounts of money do.
Stability or profit?
In the process of finding a place for investment, the person who owns a large amount of money has to solve one main question: what is his priority - making a profit or maintaining stability. And the answer to this question, frankly, depends solely on the size of the investments, the amount that this person would like to invest. The dependence here comes from the fact that it makes no sense to keep small amounts if it is possible to receive increased income from them. If the amount of funds for investments is small, it is better to really take a chance and try to increase them using more risky combinations of deposits.
There is an inverse relationship: the more money, the more desirable is stability. This is obvious: if a person has accumulated a sufficiently serious amount of funds and does not need to increase it (since these funds will be enough for him to live anyway), then he will think first of all that these investments remain with him forever. And profitability will fade into the background. In such situations, the investor may think about what it is better to invest money, focusing on the level of risk.Losing his money is worse for him than earning new ones.
Key investment options
In fact, the options for where to invest the money to make it work are not new. All those investment methods that are used today are known to everyone and have been used for more than a dozen years around the world. This is a combination of some common techniques that are used by a large number of people. In this regard, it’s already good - there are a lot of tips and recommendations on the features of investing, there is the experience of other investors, information about this and the Internet, which combines all this. Thus, there is no need to collect various information about where to invest money today - all this has already been repeatedly painted and “chewed”.
Therefore, each investor can read about the options that are available specifically for him and make his choice. In the same article, we will characterize the following investment options: purchase of foreign currency, investment in precious metals, in stocks, in real estate; acquisition of luxury goods, transfer of money in trust, investment in trading on the stock exchange. For each of them, an analysis will be briefly presented based on the risks and level of profitability that this option can offer. As a result, we will try to find out how it is profitable to invest money in a particular situation.
Foreign currencies
Buying the national currency of other states is very simple, but nevertheless a fairly effective investment. Sometimes a simple population also makes such an investment: as everyone knows, dollars and euros are popular among Russians. The advantage of this method of investment is that there are no restrictions on the amount of the investment, as well as on its “getting it on hand” - at any time you can sell your dollars and “withdraw” from the deposit. Also, the simplicity of buying currencies is pleasing (you can do this at a huge number of “money changers”, as well as at banks in compliance with the relevant restrictions).
Given the various exchange rate hikes, perhaps buying a foreign currency is the best answer to the question: “Where to invest in Russia?” The principle of operation of such an investment is simple: against the background of a constant devaluation of the Russian ruble, other currencies remain afloat. As a result, other currencies are constantly getting more expensive, which automatically creates an extra cost to any amount of money in foreign equivalent.
Dollars or euros can be deposited into a bank account. Regarding this, we will speak separately in another part of the article, however, acting in this way, you can achieve the principle of "invested - and get money." Very convenient, profitable (with sharp drops in the ruble - and even more so), as well as reliable. Indeed, given the forecasts of experts and the general political situation in our country, it would be a silly naive to count on the ruble to skyrocket and the dollar depositors to lose their money. Therefore, we are considering such a contribution option.
Another question is whether it is worth doing now, when the ruble is already in a deplorable state. Perhaps it is minimal, but will strengthen its position - and then investors in euros and dollars will remain in a small “minus”. In addition, if you want to deal with such deposits, take care of diversifying your risks: buy several different currencies so that you can make money by losing the price of one of them.
Precious metals
The second option on where to make an investment is precious metals. We will not inform you in detail about how to invest money in gold - this is a fairly simple task that can be completed by contacting any bank. The acquisition of gold, platinum, silver coins and bullion is a basic banking service.
At all times in human history, these metals have been highly valued in any society. Because of this, they have become a reliable means of investment and continue to remain so. Having bought, say, gold bar, you can put it in a bank cell and thus save your savings for future generations.
However, before you invest in gold, think about its value in world markets. It is also changing, and over the past few years is clearly not in favor of a noble metal. There is a minimal, but a drop in the value of this financial instrument. Therefore, investing all the money in one gold would be unreasonable.
Probably, it makes sense, again, to disperse your risks across different metals and, possibly, various foreign currencies - this way your savings will be insured against the cost of one of the investment tools.
Company shares
An alternative to buying currencies and metals is investing in business projects. People who are knowledgeable in market relations, capable of making forecasts and analyzing various processes, can receive excellent income from the acquisition of shares in various public business enterprises.
In fact, if you invest in a project that you have carefully analyzed and studied, you can make a fortune. At least that's what they do in advanced countries, choosing young startups and investing in them. If you are lucky, the project will start to bring money and, thus, will bring you “in plus”.
Perhaps the business will fail and you will simply lose your investment. And, perhaps, the company will “shoot” and significantly increase its capitalization in the market, increasing your contribution.
Another advantage of working with this form of investment is the awareness of helping people. In fact, you help your money to develop this or that project to its creators (for a share in the company). If not for your money, the whole project could not have taken place. True, in Russia the influence of the state on business is extremely high, therefore no one can accurately predict whether a company will be successful. Perhaps yesterday she showed encouraging financial results, and already today prosecutor’s offices are being searched in her offices. Therefore, it may be safer to work with foreign companies - to invest in the shares of the next startup from Silicon Valley and enjoy life (if it does not fail).
The property
A very reasonable step for an investor is to invest in construction or finished real estate. In the first case, you buy a share in the project for the construction of an object at a low cost. If the project is successfully implemented - construction is being completed - you get some share of yours (depending on the size of the contribution), which in the future can be sold much more expensive.
They engage in speculation of this kind very often, their form changes, but the meaning remains the same: to buy a cheaper object (it can even be a finished apartment or some studio) in order to realize it more expensive. The advantage of buying real estate is that you can thus invest money profitably, get objects and rent them in the future and collect rental fees.
This type of investment is good because the real estate object will be your lifelong tool for earning without any action on your part. Therefore, if you are thinking where to invest in order to receive monthly income - look for what they are going to build in your city.
Banks and private financial companies
Another example of an object for “classic” investments is banks and various credit companies. These financial entities are engaged in the issuance of interest-bearing loans, so they constantly need additional attracted capital. For you, this is a real investment opportunity.
These options are the most common decisions on where to invest in order for them to work. Everything is quite simple: you bring your funds to the bank, sign a deposit agreement, and begin to receive interest.The same applies to private credit organizations, however, they give a large rate at their investment rates.
The described investment option is good for its simplicity. You do not need to think about what to do with the money further - you just have to make a choice once about which bank to invest money at interest. Again, in this case, you need to focus both on the rate promised to investors and on the reputation of the institution, its status in the services market, and stability.
By comparing these factors, you can find the best deal.
Banks have two drawbacks - the possibility that the institution will be liquidated due to insolvency; as well as low profitability. Credit companies are simply a lack of stability and higher risks.
Trust management
Another form of investment can be called the transfer of money in trust.
Simply put, the DU involves providing a specialized investment company with the right to manage your money in such a way as to get the most profit from it. As a rule, funds are engaged in this, as a part of which a number of specialists of different orientations are acting. For example, there may be investment consultants, analysts, lawyers, economists and other experts from various fields. Together they work to place your money (transferred to them for management) on the most favorable terms.
For example, remote control funds operate on the Forex market, trade in shares of companies, may cooperate with credit companies, and so on. On the one hand, you must trust the company to which you transfer your funds to management; on the other, she must have the appropriate authority in this market and a reputation that allows such activities to be carried out.
Funds of this kind are an excellent decision as to where to invest in order to receive monthly income. True, often they have a number of requirements for their investors. This may be the established minimum amount for the transfer of funds (for example, from 100 thousand dollars), which is why this form of cooperation is not suitable for everyone.
Nevertheless, the services of private companies operating in trust are used by a large number of wealthy people. And this is normal.
PAMM accounts
Another interesting option for investing is PAMM accounts. The mechanism for making a profit is as follows: the person who needs to make an investment transfers the money to a trader engaged in Forex trading. According to the results of the bidding, it becomes clear whether they were in profit or lost. Of course, all risks are divided between the investor and the trader in half. Is it worth investing in such a scheme?
On the sites of trading platforms lists of traders accepting money for deposits are presented. Here is also laid out information regarding their work results - percentage of profit, duration of trade and other indicators. According to them, the investor can get some idea about a particular trader. If you are sure that the user is successfully trading, you can invest a certain amount of funds in this option. A PAMM account is a very good choice where to invest in order for them to work. Funds transferred to the trader can indeed be increased in a relatively short time (especially if you have chosen a risky user). However, then the chances of losing a contribution also increase.
Luxuries
Buying a variety of expensive items is another piece of advice on where to invest. If you have large amounts of funds, and you would like to save them, you can buy expensive watches, jewelry or paintings by famous artists. Such things, given their exclusivity and originality, always retain their value, sometimes even increasing it. Regardless of which quotes on the exchange and at what rate the dollar is currently selling, a Rolex watch will always maintain its price of $ 35,000.Therefore, this method of investing, although conservative, can compete with those described above.
You can store your precious items in a bank cell. By opening this one, you will always be confident in your future and the comfortable future of children.
Education
In the end, we decided to prepare one very universal, flexible in terms of conditions, but perhaps the most profitable way to save and increase money. This is your education. If you are looking for where to invest in order to earn monthly income, education is simply the perfect option. They also say that when we study, we invest in ourselves. It really is.
Since education in Russia is more accessible than in Western countries, it is customary to value it less. However, in the same America it is believed that if a person gets an education, he will be able to guaranteed return the money invested in knowledge through further employment. When our country can get out of the crisis, perhaps this will become the norm, and people will be more responsible about their education. But, after all, the truth is that money invested in yourself is maximally protected from inflation and is not subject to any risks. Because of this, sometimes, more attention should be paid to such investments.
Conclusion
So, the article outlined various ways to increase and maintain capital. The situation in which one or another of them should be applied depends on the amount of funds that you want to invest; the term for which you plan to make investments; as well as other nuances of the contribution. Given all these parameters, you can choose the most suitable option for yourself.
Further, after you choose the final form of saving money, you can more accurately envisage what exactly you want to receive from such an investment; how risky it is and how high these risks are. As life shows, it is not worth neglecting such data - you need to weigh as much as possible the pros and cons.
The main thing - do not forget to play it safe and share the risks for different investment options. And then nothing will threaten your financial security.
